Research On Competitive Strategy Of D Company’s Power Lithium Battery Business

Lithium battery,as the most commonly seen power form for EV,is the indispensable key power to current NEV industry worldwide.Due to the positive influence of NEV industry,support policy of corner over-taking planning and double carbon policy from Chinese government,China has become the biggest NEV market globally.With the speeding up of global vehicle electrification,Chinese lithium players represented by CATL,BYD,Korean and Japanese players represented by LG,Panasonic,Samsung SDI,SK have become the top players in global lithium battery industry.Their market share is overwhelming due to their advantage achieved at the beginning and thus the bold and ambitious investment later on which makes the survival and development of small-sized companies very difficult.D company is a small sized company in single business mode,with its focus on R&D,manufacturing,sales and after sales service for power battery system used on EV.Regardless of the advantage gained by its early entrance into the industry and lots of customers already developed and experiences accumulated,it is crucial to clarify the competition strategy for its own survival and development since D company is gradually losing its advantage resulted from the new fierce competition in the market and limitation of its own resources.This thesis uses D company as the study target,through using PEST analysis,Five Force model analysis,Strategic Group analysis etc.to analyze D company’s external environment such as political environment,legal environment,economical environment,cultural environment,technical environment,competition status,strategic group and competitors to clarify the positioning of company in the market,to form the EFE matrix,clarifying that although the company facing threat,in general good for company development.Through value chain analysis and internal capability analysis using VRIO to form IFE matrix clarifying the advantage and disadvantage of company;Through SWOT analysis and QSPM matrix analysis,this thesis clarifies the company should make full use of external opportunities and adopt focus strategy to make best use of the advantages and bypass the disadvantages.Meanwhile,the company should set up the strategic approach and corresponding safeguarding implementation measures to strengthen company strength,set up the concrete safeguarding measures in HR resources,organizational guarantee,operational management,company culture etc.,This thesis will clarify the competition strategy of power lithium battery for D company,Power lithium battery is an industry with obvious size effect and is developing at high speed,showing trend of industry centralization.This thesis is also a good reference for the small sized companies who want to survive but don’t want to compete directly in the main market with the industry giants.